Chinese PC brands win market share

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EIJING--China's local personal computer marketers are aggressively taking market share from international brands, according to a report in Business Weekly. ``Local vendors have typically enjoyed advantages in pricing, distribution channels and relations with government.

These advantages are resulting in increased market share for the local players,'' Kitty Fok, research manager for International Data Corp., told the paper. According to an IDC report, the top four local vendors in China (Legend, Founder, Great Wall and Tontru) increased PC shipments by 65% in the first three quarters of 1998, compared with the same period of last year. The top four international vendors (IBM, Hewlett-Packard, Compaq and Toshiba) only increased shipments in China by 14% over the same period.

As a result of the surge in shipments by local vendors, the top four local vendors' collective market share has increased from 18% to 23%, while the top four international vendors have seen their market share slide from 21% to 19%. Overall, the total China PC market posted 28% year-on-year growth in shipments in the first three quarters of 1998.

Copyright January 1999, Crain Communications Inc.

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